Formula Flashcards
1
Q
Revenue
A
= price x number sold
2
Q
Total cost
A
= fixed cost + total variable costs
3
Q
Total variable costs
A
= variable cost per good x number of goods sold
4
Q
Profit
A
= revenue - total cost
5
Q
Interest
A
= (total repayment - borrowed amount) / borrowed amount x 100
6
Q
Break even
A
= fixed costs / (selling price - variable cost)
7
Q
Margin of safety
A
= selling point - break even point
8
Q
Net cash flow
A
= cash inflow - cash outflow
9
Q
Closing balance equation.
A
= opening balance + net cash flow
10
Q
Gross profit margin
A
= gross profit / revenue x 100
11
Q
Net profit margin
A
= net profit / revenue x 100
12
Q
Average rate of return
A
= average yearly profit / initial investment x 100
